Dan Hodges is a former Labour Party and GMB trade union official, and has managed numerous independent political campaigns. He writes about Labour with tribal loyalty and without reservation. You can read Dan's recent work here

Ed Miliband and David Cameron's battle over Cuddly Capitalism is a fatuous waste of time

Today both David Cameron and Ed Miliband are locked in mortal combat over ownership of this supposedly lucrative piece of political real estate. Labour’s leader sees an opportunity; the Conservatives a threat. For Ed it is the chance to show that he is setting the agenda, that he's making the weather – and that he’s not as crap as everyone thinks he is. For Dave it represents an exposed flank, a dark cloud on a relatively untroubled horizon. Plus, he’s got to do it because Ed’s forced him to.

Both of them should save their energy. Seriously. The New Capitalism is like every other Defining Issue of Our Age. There’ll be another one along in a minute.

Look at how both leaders have chosen to frame their speeches. In the red corner, responsible capitalism. In the blue corner, moral capitalism. As opposed to what? Irresponsible capitalism? Amoral capitalism? A dash of communism?

First, let’s take David Cameron. Our Prime Minister has a number of strengths. He has a good political brain. He has a deft political touch. And he’s not Ed Miliband.

But convincing the British people he is the man to reign in the careering wagon-train of British corporate excess? Good luck, mate.

For one thing, it’s just not in the Prime Minister’s DNA. When Labour’s leader says “I frankly don't believe that this Prime Minister is serious about this agenda. Why? He attacked me last year when I talked about irresponsible capitalism and I'm afraid its never going to work if your basic view is that government should just get out of the way,” he’s right. Cameron isn’t serious. Opportunistic, yes. Tactically astute, of course. But he’s not going to get into the business of grappling with the inequities of capitalism. He’s a Conservative prime minister. That’s not his job.

There’s also the small practical matter of those exorbitant bonuses and excessive end of year profits that help bankroll Cameron’s party. Moral capitalism is all well and good. But the Prime Minister isn’t going to make the mistake of biting the hand that funds him.

Which takes us to Ed Miliband. His focus is on responsibility rather than morality. Potentially fertile political territory. At least if you listen to popular wisdom. Or Tom Baldwin.

There are, however, one or two flaws in this argument. One is that, by popular consent, Responsible Capitalism is Ed Miliband’s issue. He put it at the centre of his conference speech in September. He’s been banging on about it, if not exactly building a coherent narrative around it, ever since. And he’s succeeded in pushing it to the top of the political agenda.

Fat lot of good it’s done him. When Ed Miliband gave his “Predators” speech Labour were ahead in the polls. Now they’re at best level with, and in a number running marginally behind, the Tories. Ed Miliband’s own personal approval ratings have plunged to a staggering minus 44. And on the economy, the issue Responsible Capitalism was supposed to frame, Labour has fallen even further behind their opponents. If that’s what happens when Miliband is setting the agenda, God help his party when David Cameron wrests it from him.

Which isn’t to say it’s not an agenda worth pursuing. But not like this.

Miliband has got his political sequencing wrong. Before demonstrating he can reform capitalism, he needs to show he’s competent at capitalism. And he can only do that when he has built up his credibility and credentials on the economic fundamentals. At the moment these are fiscal responsibility, deficit reduction, and the politics of the cuts.

Ed Miliband shouldn’t be making speeches or writing articles today on company takeover rules. He should be making a speech explaining Labour’s new economic policy. And another one the day after. And another one the day after that.

In fact every single shadow cabinet member, shadow minister and Labour MP should be doing nothing for the next month except explaining what, why and how Labour is re-defining its stance on the economy. Instead, what we’re seeing is classic Ed Miliband. He steps tentatively out of his comfort zone and treats us to a brief display of political bravado. Then he detects the chill wind of internal discontent, and rushes back to where it’s warm.

Ask someone whether they back corporate greed or bankers' obscene bonuses and what are they going to say? “Lay off the bankers, pal. That Freddie Goodwin, he wouldn’t hurt a fly.” What we’re seeing today isn’t two bald men fighting over a comb. It’s two perfectly hirsute men fighting over a wig.

But fight they will. At least until the next Defining Issue of Our Age rolls up. I hope for everyone’s sake it isn’t going to be long.